The British Pound hit its lowest level recorded in twenty-seven months against the U.S. Dollar yesterday, reaching a rate of $1.2396 not long after New York markets opened for business. The daily fall of approximately 1% in the rate came after the British government reported stronger than expected wage growth, but the price was barely affected by later comments from the Chair of the U.S. Federal Reserve Jerome Powell. It was the stronger than expected U.S. retail sales data, which showed a growth of 0.4% against an expected pace of 0.1%, that boosted the U.S. Dollar across the board and contributed to the slide which had begun earlier during the London session.
Silver Spikes Up
The other major market news was in the price of spot Silver against the U.S. Dollar, which reached its highest level since February, at $15.68 per ounce. However, the Asian session has seen the price begin to stabilize, so metals analysts are seeing a chance of yet higher prices over the coming days.
Powell Confirms More Dovish Fed Tilt
In a speech delivered yesterday in Paris. the Chair of the Federal Reserve Jerome Powell made it clear that the FOMC would “act as appropriate” to preserve U.S. economic growth, stating that FOMC members have begun to see a stronger case for a more accommodative monetary policy. Market analysts had already begun to see a stronger case for rate cuts in recent days on the back of economic data. Powell’s words may have helped halt the minor surge in the greenback which had seen the U.S. Dollar Index (DXY) rise by 0.32% over the day, as well as stemming the minor fall in the benchmark S&P Index, which looks to have found support at the key 3,000 level after closing down by 0.34% over yesterday’s session.
Elon Musk Announces Brain Computer Interface Plans
Elon Musk’s startup Neuralink yesterday unveiled a plan to begin test implants electrodes into paralyzed humans which would allow them to work external computers by thought alone. Although implementation is seen as a long way off, Neuralink is believed to have succeeded in successfully recording brain activity in mice.